DeeThree Exploration Ltd. Announces Earnings and Operating Results for the Fourth Quarter and Full Year Ended December 31, 2014
Mar 26 15
DeeThree Exploration Ltd. announced earnings and operating results for the fourth quarter and full year ended December 31, 2014. For the quarter, the company reported net income of $28,312,000 or $0.31 diluted earnings per share on oil and natural gas revenues of $69,957,000 compared to net income of $3,305,000 or $0.04 basic and diluted earnings per share on oil and natural gas revenues of $51,865,000 for the corresponding period last year. Funds from operations were $41,773,000 or $0.46 diluted per share against $24,660,000 or $0.31 diluted per share for the same period last year. Cash flow from operating activities was $54,239,000 against $25,499,000 for the same period last year. Capital expenditures were $64,964,000 against $56,072,000 for the same period last year.
For the year, the company reported net income of $76,233,000 or $0.86 diluted earnings per share on oil and natural gas revenues of $303,348,000 compared to net income of $18,048,000 or $0.23 basic and diluted earnings per share on oil and natural gas revenues of $177,991,000 for the last year. Funds from operations were $173,196,000 or $1.95 diluted per share against $93,295,000 or $1.18 diluted per share for the same period last year. Cash flow from operating activities was $184,239,000 against $97,448,000 for the same period last year. Capital expenditures were $296,549,000 against $211,885,000 for the same period last year.
For the quarter, the company reported natural gas production of 16,510 (mcf/d) against 10,251 (mcf/d) of prior year period; Crude oil produced was 9,275 (bbls/d) against 6,547 (bbls/d) of prior year period. Total (boe/d) was 12,842 against 8,625 of prior year period.
For the year, the company reported natural gas production of 13,823 (mcf/d) against 9,881 (mcf/d) of prior year period; Crude oil produced was 8,353 (bbls/d) against 5,205 (bbls/d) of prior year period. Total (boe/d) was 11,325 against 7,184 of prior year period.
DeeThree Exploration Ltd. Provides Operations Update for Year End 2014
Mar 5 15
DeeThree Exploration Ltd. report that its organic growth has continued into 2015. The Company has drilled 5.0 gross (5.0 net) of its previously budgeted 10.0 gross (10.0 net) wells in the first quarter to date. Results have exceeded expectations in both of its core areas and, as a result, the Company has elected to reduce its first quarter capital program and now plans to drill one more well in the first quarter for a total of 6.0 gross (6.0 net) wells. In addition, the Company has significantly reduced declines on its historical Bakken production with its enhanced oil recovery initiative. DeeThree is on-track to achieve its previously announced guidance. DeeThree's drilling success on its Brazeau Belly River property has continued into 2015. The Company has drilled 3.0 gross (3.0 net) wells and completed two to date. DeeThree continues to see production performance gains with its drilling and completion optimization strategies. Highlights include a Belly River well drilled in the D zone which tested at a final flowing rate of 1,700 bbls/d of crude oil and 1.9 mmscf/d of natural gas at 260 psi wellhead pressure after a four day test. The Company has successfully increased production performance to date and a primary focus in 2015 will be to further reduce costs. The Company continues to focus on its gas reinjection enhanced oil recovery ("EOR") scheme on its Alberta Bakken property. Based on the success of the pilot which started in July of 2013, the Company invested an additional $7 million of capital in 2014, installing a built-for-purpose compressor and associated high pressure injection lines which has the capacity to re-inject all currently produced gas. Since increasing the injection rate in September of 2014, the Company has observed reduced declines over a 14 section area in the heart of the pool. Preliminary results from reservoir modeling by third party consultants, using Petrel modeling software, predict the potential for an increase of up to 200% in recovery factors associated with gas reinjection beyond the recovery factors with primary drilling alone. The first well drilled and completed in 2015 is a horizontal infill well located within the gas reinjection area. This well has exceeded expectations and provides additional data which further support the case for gas reinjection. The 1-24-3-17 W4M well tested at various flowing rates of up to 1,800 bbls/d of crude oil and has continued to flow at a restricted rate of 370 bbls/d of oil and 450 mscf/d of gas at 305 psi after 14 days of production. DeeThree has drilled a second well into the pool using monobore technology and has seen drill cost reductions of 25-30%.